As an adult with a history of addiction to videogames, formed during childhood where I used games to escape family stress (and because, c'mon, they're fun!), I would only introduce digital games as a thing I do together with my child, and without the loot boxes or other microtransactions.
Videogames are some of the low-hanging fruit of pass-time options. As someone who promotes rewilding (the land, water, and ourselves- changing our habits towards a pre-agricultural existence, like in The Birchbark House, by Louise Erdrich; I'm reading this series to my child), is recommend minimizing the time spent indoctrinating children into the wonderful world of computers, and maximizing the time you spend together gathering food and making meals (it's okay to spend hours a day doing this, especially as a social activity), moving through the world outside together, playing games that aren't on flat screens (myopia is a problem), and facilitating your child's time with peers.
I struggle with the latter, as we're in a rural area with few young children, and those that do live around here are habituated to spending hours a day on their computers.
On addiction: when I was hooked on WoW I remember trying to get my longtime friends involved. They gamely tried, too, but were well-enough adjusted that the hooks didn't catch. That did not compute for me; how could you not be devoted to this experience? I saw myself as a lifer. Now, after reading about addiction, and in talking with therapists, I understand not everyone gets hooked on the same thing, if anything at all. The design of games can make it really easy to get hooked, though, and hard to crawl out. That's where I think they go wrong; nothing should be so easy, except actions like breathing and using our bodies (much of which requires training, which goes back to how we spend our time).